|
PureBytes Links
Trading Reference Links
|
>Is the time decay based on "Trading Days" or "Calender Days"/
>
>I beleive that the time decay is based on trading days. In this case, a
>weekend
>will not make a difference.
>
>Girish Patel
>
I disagree. The time decay factor of an option reflects the amount of time
left until it expires. Two days less time until expiration is two days. The
option doesn't know if the market is open or not (nor does it care).
-Richard
|